West Palm Seeks Ways Of Reviving Revenue Sources

WEST PALM BEACH -- Although property tax rates will not increase in 1987-88, the city must begin searching for ways to keep that rate stable, officials said.

``The past five years have brought unprecedented problems for local government in general and West Palm Beach in particular,`` City Manager Paul Steinbrenner wrote in his budget message to the City Commission. ``The city has been faced with the countervailing pressures of rapid growth, increasing citizen expectations and diminishing financial resources.``

The city will have to explore several options to renew stagnant revenue sources, including annexation, increased user fees, elimination of unneeded services and looking to the private sector to provide services traditionally provided by government, Steinbrenner said.

The city`s proposed general operating budget of $54 million is the largest of municipalities in the county. The city`s budget, which includes water and sewer services, garbage and other services not paid for by property taxes, is $103 million.

After hitting an all-time high of $12.11 per $1,000 of assessed property value in 1978-79, the tax rate fell to a low of $6.13 in 1982-83. It has been slowly climbing since then to its rate of $9.18.

At the proposed rate, which residents can support or oppose at public hearings on Sept. 8 and 14, the owner of a $75,000 home minus the $25,000 homestead exemption would pay $458.88, the same as last year.

Public safety again this year will take the largest chunk of the city`s $54 million general operating budget. The police and fire departments will receive 43 percent, or $23.2 million, of that amount. Steinbrenner has proposed that 14 new police officers be added to the 184 officers in the department.

That hefty chunk was allocated for public safety even before the FBI released a report that indicated the city had the largest number of reported crimes of any midsized city in America.

Some commissioners are concerned that not enough is being done to address the city`s crime problem.

``We sold an increase in millage last year, a big increase in the police budget because we said crime was our No. 1 priority,`` Vice Mayor Pat Pepper Schwab said at a recent budget meeting. ``We need to take a look at the department`s objectives, rather than just continuing to throw officers and money at the problem.``

The second-largest expenditure, 17 percent, or $9.2 million, is for general government. That includes everything except public safety, public works, engineering and parks and recreation.

Figuring prominently are employee salaries and benefits, which comprise about 61 percent of the operating expenditures.

Negotiations are still taking place with the municipal workers` union, as well as fire and police unions.